Slippery shares, weak funds, what are you going to do, investors?

Slippery shares, weak funds, what are you going to do, investors?
Mar 18, 2008 04:19
YVONNE Points: Join Date: Nov 29, 2004 Status: offline	After US Fed agrees Morgan Stanley to fund Bear Stearns, Asian stock market suffered intense selling pressure from it. The investors are afraid that the credit crisis might cause more victims, following the bail-out of Bear Stearns. MSCI Asia Pacific ex-Japan index experienced its lowest level yesterday since August last year. Nikkei 225 Average went down 3.7 percent. In Hong Kong, HSI slided down 5.7 percent. In mainland, Shanghai Composite index dropped 3.6 percent, closing at 3820.05 points. The investors are worried that the central government might raise the interest rates very soon and this makes them be pessimistic about the market. Many investors have transferred their money from the stock market and the turnover declined. Thus, these stock exchange firms start to decrease the commission to stablize the investors. In addition, the funds dropped sharply. It is reported that about 91 funds have dropped below one yuan. Five QDII funds were also included. Facing such a situaion, what are you going to do, investors? Retreat or stick to it?

Mar 18, 2008 04:19

YVONNE
Points:
Join Date: Nov 29, 2004
Status: offline

After US Fed agrees Morgan Stanley to fund Bear Stearns, Asian stock market suffered intense selling pressure from it. The investors are afraid that the credit crisis might cause more victims, following the bail-out of Bear Stearns.

MSCI Asia Pacific ex-Japan index experienced its lowest level yesterday since August last year. Nikkei 225 Average went down 3.7 percent. In Hong Kong, HSI slided down 5.7 percent. In mainland, Shanghai Composite index dropped 3.6 percent, closing at 3820.05 points. The investors are worried that the central government might raise the interest rates very soon and this makes them be pessimistic about the market. Many investors have transferred their money from the stock market and the turnover declined. Thus, these stock exchange firms start to decrease the commission to stablize the investors. In addition, the funds dropped sharply. It is reported that about 91 funds have dropped below one yuan. Five QDII funds were also included.

Facing such a situaion, what are you going to do, investors? Retreat or stick to it?

Mar 18, 2008 10:05	#1
GARYKINKADE Points: Join Date: Jan 8, 2008 Status: Offline	Divest from the stock market, buy gold and silver in the physical form, buy large quantities of beans and rice and then become a hermit and be bored forever.

Mar 18, 2008 22:02	#2
JIMMYB Points: Join Date: Feb 7, 2007 Status: Offline	"Divest from the stock market, buy gold and silver in the physical form, buy large quantities of beans and rice and then become a hermit and be bored forever." To store gold and silver is a good idea because they never devalue. Since the prices of foods has been skyrocketing, you can do store large quantities of beans and rices and then sell them at higher prices to make profits.

Mar 18, 2008 23:10	#3
MARRIE Points: Join Date: Jan 7, 2008 Status: Offline	it's a weird spiral, ie. int. rate down, then u$ down, crude future contracts sore because of opec needs to keep the revenue value (denominated in u$) from forex risk.

Mar 19, 2008 21:34

JIMMYB
Points:
Join Date: Feb 7, 2007
Status: Offline

If US Fed continues to cut the interest rates, dollar will become the least valuable currency. It is not wise to sacrifice dollar to boost US economy. Because of the soaring crude oil price, many nations require OPEC to increase crude oil output. However, OPEC says NO. If the crude oil price is out of control, the world economies will be in trouble. More seriously, the war of energy seizing might be aroused.

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